G.R. No. A.C. No. 10897. January 4, 2022.
TONY PETER PARTSCH, COMPLAINANT, VS. ATTY. REYNALDO A. VITORILLO, RESPONDENT.

FACTS

Complainant Tony Peter Partsch, a Swiss national, sought to purchase beachfront property in Cagayan de Oro in March 2012. Respondent Atty. Reynaldo A. Vitorillo, claiming ownership, offered to sell him an 800-square-meter lot for P2.5 million, representing that 100 sqm was already titled in his name and the remaining 700 sqm was pending registration to be completed within three months. On April 4, 2012, Partsch paid Atty. Vitorillo P250,000 as a down payment. No deed of absolute sale was executed, with Atty. Vitorillo promising to prepare it along with the titles after three months. After the period lapsed, Atty. Vitorillo failed to deliver the titles, offering excuses including that the 700 sqm portion was part of a pending litigation from a client and that the title would be released later. In November 2012, Atty. Vitorillo informed Partsch he was no longer selling the property and proposed an alternative lot, which Partsch rejected, demanding a refund of his down payment with interest. Atty. Vitorillo refused. A mediation at the Barangay ensued, where Atty. Vitorillo intimidated Partsch into apologizing. Despite subsequent demands, the refund remained unpaid, prompting Partsch to file this disbarment complaint in 2015. In his comment, Atty. Vitorillo admitted entering into a contract to sell but denied promising to deliver titles within three months, claiming Partsch knew the property was under litigation. He acknowledged responsibility to return the P250,000 but not the interest.

ISSUE

Whether Atty. Reynaldo A. Vitorillo violated the Code of Professional Responsibility and should be disciplined.

RULING

Yes. The Court found Atty. Vitorillo guilty of gross misconduct and violation of the Code of Professional Responsibility (CPR). His actions constituted unlawful, dishonest, and deceitful conduct under Rule 1.01, Canon 1, and conduct adversely reflecting on his fitness to practice law under Canon 7. Specifically, he: (1) made false representations to Partsch about his ownership and the status of the property’s titles; (2) attempted to sell land to a foreign national in violation of constitutional restrictions on alien land ownership; (3) accepted a substantial down payment without executing a formal contract; (4) failed to fulfill his promises and refund the money promptly; and (5) used intimidation tactics during mediation. The Court modified the Integrated Bar of the Philippines’ recommendation, imposing a three-year suspension from the practice of law instead of the recommended two years, considering the gravity of his misconduct, which eroded public confidence in the legal profession.